Drugmakers fear Trump tariffs will drive up manufacturing costs, hurt medicine access: BIO survey

According to a recent survey by the Biotechnology Innovation Organization (BIO), drugmakers are deeply concerned about the potential impacts of President Trump's proposed tariffs on pharmaceuticals:

Manufacturing Cost Increases

94% of biotech companies surveyed expect tariffs on EU imports to drive up manufacturing costs4 10
82% anticipate cost increases from Canadian tariffs, while 70% expect higher costs from China tariffs4

Innovation and Access Impacts

50% of companies say EU tariffs would force them to find new research and manufacturing partners4 10
Many firms expect they'll need to rework or delay regulatory filings, potentially stalling medical innovation10
Industry leaders warn tariffs could harm patients' access to affordable medicines6 10

Supply Chain Disruptions

Nearly 90% of U.S. biotech companies rely on imported materials for at least half their FDA-approved products4
44% of companies expect supply chain changes to take over 2 years to implement4

Broader Economic Concerns

Potential for margin erosion and higher drug prices for U.S. consumers2
Fears of exacerbating existing drug shortages7

BIO CEO John Crowley acknowledged the goal of increasing U.S. manufacturing but cautioned that the transition "will take years" and urged mindfulness of the "negative consequences of these proposed tariffs" in the meantime10.